Growing fears over Brexit hit CBI growth forecasts

Commonwealth business leaders want Britain to remain part of the EUWill Oliver/PA

The CBI has cut its growth forecasts as uncertainty grows about the European Union referendum and as Commonwealth countries line up to advise against Brexit.

After the Bank of England’s downgrade last week, the employers’ organisation is predicting GDP growth of 2 per cent in both 2016 and 2017, down from its forecasts of 2.3 per cent and 2.1 per cent, respectively, in February. It is gloomier about prospects next year than the Bank, which predicts 2.3 per cent growth.

“A dark cloud of uncertainty is looming over global growth, particularly around weakening emerging markets and the outcome of the EU referendum, which is chilling some firms’ plans to invest,” Carolyn Fairbairn, director-general of the CBI, said. “At present, the economic signals are mixed. We…

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